Access, UBA, Zenith, Others Offer Attractive Exchange Rate for Customers to Covert Dollar to Naira

Access, UBA, Zenith, Others Offer Attractive Exchange Rate for Customers to Covert Dollar to Naira

  • Nigerian banks are making efforts to encourage customers with dollar deposits to convert them to naira with them
  • The banks are using several strategies to reach out to their customers, which include sending emails and SMS messages
  • Despite the CBN's recent efforts, the gap between the official and black markets continues to widen and is now at N200

Legit.ng journalist Dave Ibemere has over a decade of experience covering Tech, Energy, Stocks, Investments, and the Economy.

Commercial banks are urging their customers with domiciliary accounts to consider converting their savings to naira.

The banks are offering a competitive rate to convince customers to consider selling to them instead of withdrawing to sell on the black market.

Banks wants to buy customers dollars
CBN ready to buy customers' dollars Photo credit: CBN
Source: Facebook

Banks want customers to covert dollar

The Nation reports that some banks have developed platforms to sensitise customers on how the dollar deposits in their domiciliary accounts can be converted to naira.

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They are reaching out to their customers via SMS or email and also displaying the option on the home page of their mobile apps.

One of the banks SMS to customers reads:

“It is as instant as a regular transfer between accounts. The service is available between 9am to 4pm Mondays to Fridays, excluding public holidays.
“Customers are expected to log into their internet banking platform, go to FX transaction portal and select FX sales.”

Although the bank claimed their rates is very competitive, it pegged transaction rate at N1,450 to the dollar.

This rate, however, is lower than the N1,610/$ exchange rate at the black market on Thursday, February 15, 2023.

Sell dollar to us, banks tell customers

A customer representative in one of the commercial banks, Chinoso Okafor, explained to Legit.ng that although the banks' rate could be lower compared to the black market, it offers customers peace of mind.

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She said:

"We have heard several instances of a customer rushing in to complain that we paid him or her in fake dollar currency, which is what the black market traders told him, when in fact he had been defrauded and his money exchanged.
"So what we do is, if a customer wants to withdraw, we snap a picture of the cash withdrawn before handing it over.
"I don't think it is worth it for any customer to take such a risk when what we are giving out already is high."

CBN, FG not converting domiciliary accounts

Meanwhile, the Nigerian government and the Central Bank of Nigeria have responded to reports suggesting plans by the government to convert funds in domiciliary accounts to naira.

Over $30 billion is reported to be sitting idle in accounts across Nigerian banks, including Access, GTB, UBA, Zenith, and others.

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The report claimed the move would help the naira recover in the forex market and boost the forex supply in Nigeria.

Source: Legit.ng

Dave Ibemere avatar

Dave Ibemere (Senior Business Editor) Dave Ibemere is a senior business editor at Legit.ng. He is a financial journalist with over a decade of experience in print and online media. He also holds a Master's degree from the University of Lagos. He is a member of the African Academy for Open-Source Investigation (AAOSI), the Nigerian Institute of Public Relations and other media think tank groups. He previously worked with The Guardian, BusinessDay, and headed the business desk at Ripples Nigeria. Email: dave.ibemere@corp.legit.ng.

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